Thousands of annoyed radicals took to the streets of El Salvador. The reason is the introduction of Bitcoin as a legal tender, which was followed by protests from part of the country’s population. According to President Nayib Bukele, the cryptocurrency will greatly help Salvadoran workers working abroad to make a profit and return home.
However, the demonstrators disagree with this view. They fear that legalizing Bitcoin will bring instability and increase inflation levels in Latin American countries. Some demonstrators set fire to a new Bitcoin machine, while others held signs reading Bukele Dictator.
On the 200th anniversary of the country’s independence, protesters in San Salvador’s capital carried placards reading “No to Bitcoin,” “Respect the Constitution.”
Protesters accuse the president of using authoritarian means and suggest that this is done to strengthen power control.
President Buckle has taken control of the judiciary, allowing him to run for office for the second time in a row despite constitutional restrictions. According to one of the Protestants, the government’s actions are already beyond normal limits, arrogant behavior.
However, Mr. Buckle enjoys the support of a large portion of the population in El Salvador. According to a recent poll, 85.7% of people support the president.
El Salvador became the first country to accept Bitcoin as a legal tender, which made the nation talk about the opportunities and threats of cryptocurrency. From now on, the business has to accept the controversial digital coins in payment.
The government has created a new digital wallet app Chivo, which gave each citizen $30 worth of Bitcoin after downloading.
After the release of the digital wallet, Bitcoin fans worldwide were buying $30 worth of digital coins to increase the currency’s value.
However, the UCA survey found that only 4.8% of respondents know the essence of Bitcoin and its use.
Also, more than 68% of respondents say they disagree with cryptocurrency as a legal tender.
The government has already installed more than 200 new cash registers to convert dollars into bitcoins.
Despite the supporters of the decision, part of the capital residents have been protesting since legalization. They do not trust the government and think that it will affect their financial situation even worse.
The decision is called into question because many countries, including China, are moving in the opposite direction. The largest country in Asia is trying to impose regulations and limit the acceptance of cryptocurrencies. Proponents of El Salvador’s decision believe that the government will not be the only one to recognize Bitcoin as its legal currency and that this is just the beginning.
It is interesting if the state takes any steps to raise awareness about Bitcoin and digital currency in general. However, a lack of information causes part of the population to protest.
At this point, so far, no country has expressed a desire to legalize Bitcoin. The risks involved in legalizing Bitcoin for the country’s economy are pretty tricky to determine. Therefore, at this stage, El Salvador does not have a like-minded country.